Charlotte's Web Holdings has completed the audit of its 2019 hemp harvest.
The results of the 2019 harvest versus the 2018 are as follows:
- 245% increase in total dried biomass to 2.34 million lbs.
- 22% increase in CBD potency
- 10% increase in yield per acre
- Estimated 36 thousand kg CBD harvested, with a 33% reduction per milligram of cost
"We are very pleased with the results of the 2019 harvest, achieving yield and potency levels that surpassed our expectations. This reflects the tremendous expertise we have gained in hemp cultivation over the last six years," said Deanie Elsner, CEO of Charlotte's Web. "More than half of our harvest was certified organic in 2019 with the remaining acres in transition. We are well on our way to becoming one of the largest providers of certified organic hemp CBD extract in the country."
Charlotte's Web is 100% American-grown and is cultivated across three states (Colorado, Oregon and Kentucky) to mitigate crop risk. "With its vertically integrated model, Charlotte's Web controls its supply chain to optimize product quality, traceability, and cost, bringing its high-quality hemp in at lower than comparable spot market prices," the team with the company explains. "Efficiency and quality gains from accumulated proprietary knowledge represents a unique competitive advantage for the Company."
The 2019 growing season saw two varieties from the Company's breeding program go into full production - "Lindorea" and "Kirsche." Developed by Charlotte's Web Senior Director of Cultivation Research & Development, Bear Reel, both exceeded expectations for CBD potency, low THC, and superior yield. Patents have been filed for both genetics, adding valuable new intellectual property to the Company.
"Our genetics resulted in the highest biomass yield per acre in our history, with many acres producing well above 3,000 pounds of biomass (with fiber removed)" said Jared Stanley, Company Co-Founder and Chief Cultivation Officer. "Cultivating, harvesting and drying at scale for full spectrum extract products is an area where we've learned to excel, and our world-class horticulture division continues to cultivate new varieties of hemp that are cannabinoid, flavonoid and terpene rich."
"The Company stores its hemp inventory for extraction and manufacturing over time, maintaining low-cost inventory levels that ensure consistent production to support a minimum two years of projected sales," they further explain. "The 2019 harvest is expected to support growth into 2022, guaranteeing consistency in product availability and efficacy, critical to customers that rely on Charlotte's Web™ products daily, as well as the food, drug and mass (F/D/M) retail channel that requires shelf-availability certainty."
The (F/D/M) retail channel has been awaiting regulatory certainty from the U.S. Food and Drug Administration (FDA) before broadly adopting ingestible hemp products. Charlotte's Web was heartened by FDA Commissioner Dr. Stephen Hahn's recent comments at a meeting of the National Association of State Departments of Agriculture (NASDA) where he discussed the FDA's efforts to support consumer interest in CBD with data for making more informed decisions.
"So, we know one thing from the American people: they're using CBD products," Hahn said. "We're not going to be able to say, 'you can't use these products,'" Hahn said. "Even if we did, it's a fool's game to try to even approach that.". But what do we need to do? We need to fill the information gaps."
"Regulatory certainty would bode well for Charlotte's Web, consumers and American farming communities," Ms. Elsner said, "and Charlotte's Web is pleased to assist the FDA in its efforts."
For more information:
Charlotte's Web Holdings
charlottesweb.com